ABIOLA ODUTOLA with Agency Report
Global wealth witnessed significant growth over the past two decades while per capita wealth declined or stagnated in more than 24 countries in various income brackets, says a new World Bank report.
Going beyond traditional measures such as gross domestic product, the report uses wealth to monitor countries’ economic progress and sustainability.
The 2018 Changing Wealth of Nations tracks the wealth of 141 countries between 1995 and 2014 by aggregating natural capital (such as forests and minerals), human capital (earnings over a person’s lifetime); produced capital (buildings, infrastructure, etc.) and net foreign assets.
Human capital was the largest component of wealth overall while natural capital made up nearly half of wealth in low-income countries, the report found.
The President, World Bank, Mr. Jim Yong Kim, said, “By building and fostering human and natural capital, countries around the world can bolster wealth and grow stronger. The World Bank Group is accelerating its effort to help countries invest more and more effectively in their people.
“There cannot be sustained and reliable development if we don’t consider human capital as the largest component of the wealth of nations.”Â
